If you have a dispute with Runway, you must resolve it through private arbitration rather than court, and you cannot join a class action lawsuit against the company, unless you opt out within the specified window.
This analysis describes what Runway's agreement states, permits, or reserves. It does not constitute a legal determination about enforceability. Regulatory applicability and practical outcomes may vary by jurisdiction, enforcement context, and individual circumstances. Read our methodology
The arbitration clause requires individual dispute resolution, waiving class action participation and jury trial rights, and the agreement states it applies to disputes that arose prior to the agreement's effective date, potentially reaching back in time.
Interpretive note: Enforceability of the retroactive application to pre-agreement disputes and the class action waiver may vary by jurisdiction and is subject to judicial interpretation under applicable consumer protection law.
Users who do not opt out of the arbitration agreement within the stated window are required to resolve disputes with Runway through binding individual arbitration, waiving the right to participate in class actions and the right to a jury trial in court.
How other platforms handle this
YOU AND UNITY AGREE THAT ANY DISPUTE, CLAIM OR CONTROVERSY ARISING OUT OF OR RELATING TO THESE TERMS OR THE BREACH, TERMINATION, ENFORCEMENT, INTERPRETATION OR VALIDITY THEREOF OR THE USE OF THE SERVICES (COLLECTIVELY, "DISPUTES") WILL BE SETTLED BY BINDING ARBITRATION, EXCEPT THAT EACH PARTY RETAIN...
Any Dispute will be determined in English by final, binding arbitration according to the region-specific processes below. Judgment on any award issued through the arbitration process in this Section J.2 (Arbitration) may be entered in any court having jurisdiction. EACH PARTY AGREES THEY ARE WAIVING...
You and Stripe agree to resolve any disputes, controversies, or claims arising out of or relating to this agreement or the Services through binding individual arbitration instead of in court, except that either party may bring claims in small claims court if they qualify. There will be no right or a...
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"PLEASE BE AWARE THAT SECTION 16 (DISPUTE RESOLUTION) OF THIS AGREEMENT, BELOW, CONTAINS PROVISIONS GOVERNING HOW DISPUTES THAT YOU AND WE HAVE AGAINST EACH OTHER ARE RESOLVED, INCLUDING, WITHOUT LIMITATION, ANY DISPUTES THAT AROSE OR WERE ASSERTED PRIOR TO THE EFFECTIVE DATE OF THIS AGREEMENT. IN PARTICULAR, IT CONTAINS AN ARBITRATION AGREEMENT WHICH WILL, WITH LIMITED EXCEPTIONS, REQUIRE DISPUTES BETWEEN US TO BE SUBMITTED TO BINDING AND FINAL ARBITRATION. UNLESS YOU OPT OUT OF THE ARBITRATION AGREEMENT: (1) YOU WILL ONLY BE PERMITTED TO PURSUE DISPUTES OR CLAIMS AND SEEK RELIEF AGAINST US ON AN INDIVIDUAL BASIS, NOT AS A PLAINTIFF OR CLASS MEMBER IN ANY CLASS OR REPRESENTATIVE ACTION OR PROCEEDING; AND (2) YOU ARE WAIVING YOUR RIGHT TO PURSUE DISPUTES OR CLAIMS AND SEEK RELIEF IN A COURT OF LAW AND TO HAVE A JURY TRIAL.— Excerpt from Runway's Runway Terms of Service
1. REGULATORY LANDSCAPE: Mandatory arbitration clauses in consumer contracts are subject to scrutiny under the FTC Act and state consumer protection statutes. The Consumer Financial Protection Bureau (CFPB) has historically examined arbitration clauses in consumer financial contexts. State-level consumer protection laws in California (specifically under CLRA and the California Arbitration Act), New York, and Washington have produced judicial limitations on mandatory arbitration in consumer agreements. EU Directive 93/13/EEC on unfair contract terms may render such clauses unenforceable against EU consumers. 2. GOVERNANCE EXPOSURE: High. The clause's retroactive application to disputes that arose prior to the agreement's effective date is operationally notable and may face enforceability challenges in certain jurisdictions. The combination of pre-dispute arbitration waiver and class action waiver in a consumer-facing services agreement represents a structurally standard but high-exposure provision given ongoing judicial and regulatory attention to these terms. 3. JURISDICTION FLAGS: EU and UK consumers may not be subject to enforceable mandatory arbitration clauses under applicable consumer protection law. California courts have at times limited enforcement of class action waivers in consumer agreements under California law. The retroactive application of the arbitration clause to pre-agreement disputes may face heightened scrutiny in multiple U.S. jurisdictions. 4. CONTRACT AND VENDOR IMPLICATIONS: Enterprise procurement teams should review whether the arbitration clause applies to B2B disputes or is superseded by a separately negotiated enterprise agreement. API partners should assess whether disputes arising from API integrations are governed by this clause or by a separate commercial agreement. 5. COMPLIANCE CONSIDERATIONS: Compliance teams should identify the opt-out mechanism and deadline specified in Section 16, ensure that the opt-out process is accessible and documented, and assess whether notice provided to existing users about this provision at account creation or upon agreement updates meets applicable disclosure standards under FTC guidance and state law.
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Coinbase's User Agreement includes a mandatory arbitration clause that most users may not have reviewed. Here is what the clause states and how the opt-out process works.
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The arbitration clause requires individual dispute resolution, waiving class action participation and jury trial rights, and the agreement states it applies to disputes that arose prior to the agreement's effective date, potentially reaching back in time.
Users who do not opt out of the arbitration agreement within the stated window are required to resolve disputes with Runway through binding individual arbitration, waiving the right to participate in class actions and the right to a jury trial in court.
ConductAtlas has identified this type of provision across 18 platforms. See the full comparison.
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